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Bank of Montreal (NYSE:BMO)
Cash from Financing
$52 Mil (TTM As of Oct. 2014)

Cash from financing is the cash generated/spent from financial activities such as share issuance (buy back), debt issuance (repayment), and dividends paid to preferred and common stockholders.

For the three months ended in Oct. 2014, Bank of Montreal received $25 Mil more from issuing new shares than it paid to buy back shares. It received $565 Mil from issuing more debt. It paid $0 Mil more to buy back preferred shares than it received from issuing preferred shares. It spent $318 Mil paying cash dividends to shareholders. It spent $43 Mil on other financial activities. In all, Bank of Montreal earned $229 Mil on financial activities for the three months ended in Oct. 2014.


Definition

This is the cash generated/spent from financial activities such as share issuance (buy back), debt issuance (repayment), and dividends paid to preferred and common stockholders. In the calculation of free cash flow, cash from financing is not calculated because it is not related to operating activities.

Bank of Montreal's Cash from Financing for the fiscal year that ended in Oct. 2014 is calculated as:

Cash from Financing(A: Oct. 2014 )
=Net Issuance of Stock+Net Issuance of Debt+Net Issuance of Preferred+Dividends+Other Financing
=118.622904031+529.789511238+691.223688905+-1697.28861934+-57.0816981805
=-415

Bank of Montreal's Cash from Financing for the quarter that ended in Oct. 2014 is

Cash from Financing(Q: Oct. 2014 )
=Net Issuance of Stock+Net Issuance of Debt+Net Issuance of Preferred+Dividends+Other Financing
=24.973242954+565.465572601+0+-318.408847663+-42.8112736354
=229

Bank of Montreal Cash Flow from Financing for the trailing twelve months (TTM) ended in Oct. 2014 was 0 (Jan. 2014 ) + -128.298453139 (Apr. 2014 ) + -49.3528261477 (Jul. 2014 ) + 229.218694256 (Oct. 2014 ) = $52 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Cash from financing contains five items:

1. Net Issuance of Stock:
A company may raise cash from issuing new shares. It can also use cash to buy back shares. If this number is positive, it means that the company has received more cash from issuing shares than it has paid to buy back shares. If this number is negative, it means that company has paid more cash to buy back shares than it has received for issuing shares.

Bank of Montreal's net issuance of stock for the three months ended in Oct. 2014 was $25 Mil. Bank of Montreal received $25 Mil more from issuing new shares than it paid to buy back shares.

2. Net Issuance of Debt:
Net issuance of debt is the cash a company received or spent through debt related activities such as debt issuance or debt repayment. If a company pays down its debt during the period, this number will be negative. If a company issued more debt, it receives cash and this number is positive.

Bank of Montreal's net issuance of debt for the three months ended in Oct. 2014 was $565 Mil. Bank of Montreal received $565 Mil from issuing more debt.

3. Net Issuance of Preferred:
A company may raise cash from issuing new preferred shares. It can also use cash to buy back preferred shares. If this number is positive, it means that the company has received more cash from issuing preferred shares than it has paid to buy back preferred shares. If this number is negative, it means that company has paid more cash to buy back preferred shares than it has received for issuing preferred shares.

Bank of Montreal's net issuance of preferred for the three months ended in Oct. 2014 was $0 Mil. Bank of Montreal paid $0 Mil more to buy back preferred shares than it received from issuing preferred shares.

4. Dividends:
Cash flow for dividends refers to the payment of cash to shareholders as dividends when the company generates income.

Bank of Montreal's cash flow for dividends for the three months ended in Oct. 2014 was $-318 Mil. Bank of Montreal spent $318 Mil paying cash dividends to shareholders.

5. Other Financing:
Money spent or earned by company from other financial activities.

Bank of Montreal's other financing for the three months ended in Oct. 2014 was $-43 Mil. Bank of Montreal spent $43 Mil on other financial activities.


Related Terms

Cash Flow from Operations, Cash Flow from Investing, Net Issuance of Stock, Net Issuance of Debt, Dividends, Net Issuance of Preferred


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Bank of Montreal Annual Data

Oct05Oct06Oct07Oct08Oct09Oct10Oct11Oct12Oct13Oct14
Net Issuance of Stock -146-104-2861531,00019112689-534119
Net Issuance of Debt 6,4058,46213,712-8,636-240-5011,471405-1,307530
Net Issuance of Preferred 006154645450284-401-193691
Dividends -812-1,031-1,432-1,251-1,244-1,154-1,700-1,512-1,901-1,697
Other Financing 17,75211,52846,507528-12122,708-369-645-730-57
Cash from Financing 23,19918,85559,116-8,742-6021,244-187-2,064-4,664-415

Bank of Montreal Quarterly Data

Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14Oct14
Net Issuance of Stock 123534-232-220-1180353425
Net Issuance of Debt -1,1830-1,3650818100-8565
Net Issuance of Preferred 000-1960003123960
Dividends -345-336-501-462-469-4950-471-463-318
Other Financing 24-361-191-3590-3830-4-8-43
Cash from Financing -1,493-662-2,022-1,249-682-8150-128-49229
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